Toyota CEO Kenta Kon initiated a strategic review to reduce the company’s extensive product portfolio. The plan aims to cut costs by decreasing the number of vehicle models and specifications.
Toyota forecasts a decline in operating profit due to intensifying competition from Chinese automakers. Kon, the former Chief Financial Officer, signaled this budget-conscious shift following the annual general shareholders' meeting.
Chairman Akio Toyoda’s successor intends to maintain the company policy of creating ever-better cars through model consolidation. This strategy responds to increasing pressure within the global automotive market.